LOUISA REBGETZ, PRESENTER: It's not just the rising cost of living that's changing in the Top End. The pressure of development and new regulations are having an impact on long-held Territory traditions. Some locals are worried the lifestyle they know and love may be under threat. Jane Bardon reports.

DENNIS SMART, ACCOUNTANT: Being able to get away where there's nobody else - go fishing and go fishing. It's just wide open. Most people are very friendly.

SYLVIA MAJETIC, PINK HILL BOUTIQUE OWNER: People fly thousands of kilometres to come to Darwin so they can go out and see Kakadu and Litchfield and we can go whenever we want - how cool.

JANE BARDON, REPORTER: The great Territory lifestyle is loved by locals and it seduces visitors to stay. Freelance photographer Baz Ledwidge moved to the Territory from New South Wales in 1974. He and friend Robin Davy remember Darwin, post Cyclone Tracy, as a place where everyone mucked-in to rebuild, but the main objective was fun.

BAZ LEDWIDGE, FREELANCE PHOTOGRAPHER: Back in 74, there were three other photographers and myself started off the Darwin Rocksitters Club and that just sort of grew and grew and the main thing with it was fun - capital F-U-N and then that went on to the Darwin Ice Hockey Association and everything was to do with fun.

JANE BARDON: On modest incomes in the 70s, Baz Ledwidge and Robin Davy could afford to buy breezy elevated houses. While they welcome the Territory's economic development, they're dismayed by the accompanying property price inflation.

BAZ LEDWIDGE, FREELANCE PHOTOGRAPHER: Unless you were lucky enough like us to have bought 20 years ago and we're entrenched - anybody now trying to buy into the place, it's nearly impossible.

JANE BARDON: The friends despair that the need for cheaper housing has seen units proliferate.

ROBIN DAVY, MARINE ENGINEER: If you don't maintain a tropical style, in other words, if you pack too many houses onto a block, this doubling up of houses, it's all gone, finished. Because it means you have to have air conditioning - you don't have a tropical lifestyle.

JANE BARDON: As Darwin developed, historic buildings disappeared. New cafes, restaurants and shops have sprung up around town.

BAZ LEDWIDGE, FREELANCE PHOTOGRAPHER: You've got to have your posh restaurants and you've got to because there is now a different class of people who need those different levels.

JANE BARDON: City centre boutique owner Sylvia Majetic moved to the Territory 12 years ago from Melbourne. She thinks a bit of style won't take away Darwin's character.

SYLVIA MAJETIC, PINK HILL BOUTIQUE OWNER: Darwin doesn't have to be limited by its remoteness, it can still be fabulous.

JANE BARDON: But the increasing cost of renting her shop space is threatening to put Sylvia Majetic out of business.

SYLVIA MAJETIC, PINK HILL BOUTIQUE OWNER: For a family like us, to be able to stay and stay in business, you know the rental has to be affordable. If prices keep, you know, coming up I don't know where that leaves the locals.

JANE BARDON: In the rural area on the outskirts of Darwin, the Territory Government is considering allowing smaller housing blocks in a bid to improve affordability. The people living here feel their lifestyle is under threat.

ROD COVERDALE, HOWARD SPRINGS BAKERY OWNER: I like the space and you know, you can do more things in the rural area, rather than in the suburbs you are too close together and living in each other's back door sort of thing.

JANE BARDON: Howard Springs baker Rod Coverdale has enlisted the support of local independent politician Gerry Wood. They support new subdivisions around shopping centres, but they're trying to persuade the Government not to further subdivide rural blocks.

ROD COVERDALE, HOWARD SPRINGS BAKERY OWNER: Once you start splitting blocks out here then you're going to have houses, it's just going to be like the suburbs again, so I think if they want to do it in condensed areas if they plan it and do it properly then that's fine, but I think existing areas shouldn't be split up.

JANE BARDON: Dennis Smart has been fishing Darwin Harbour for 20 years. The financial adviser is philosophical about Darwin's development. But he's worried gas ships may limit access to some harbour creeks and dredging for the new Inpex gas plant shipping channel could affect his fishing spots.

DENNIS SMART, ACCOUNTANT: Just silt that will cover areas up the Elizabeth that might have shell growth and ecosystems there already.

JANE BARDON: The Northern Territory Four Wheel Driving Club is also concerned about losing access to its favourite spots. Decades ago the club bush-bashed some of the first tracks into prime Kakadu tourist attractions.

MAL STEWART, FOUR WHEEL DRIVE NORTHERN TERRITORY PRESIDENT: Twin Falls, Graveside Gorge, Barramundi Gorge - I'd say I was on most of the first trips into those areas.

JANE BARDON: The club's members say Territory Government regulation of national parks and a lack of funds to open up new areas are diminishing their fun.

MAL STEWART, FOUR WHEEL DRIVE NORTHERN TERRITORY PRESIDENT: As far as parks go it's very restricted. There's no doubt about that. They've just put so many restrictions on, closed so many tracks.

JANE BARDON: The Parks and Wildlife Commission says it's working to keep parks open for public enjoyment. But some areas will always be regulated for cultural, conservation and safety reasons.

ROBIN DAVY, MARINE ENGINEER: 'Kakadon't' we call it - don't do this, don't do that - but it's still a beautiful place.

JANE BARDON: Swimming holes once open to the public are now restricted. Crocodile numbers have spiked since culling stopped in the 70s.

BAZ LEDWIDGE, FREELANCE PHOTOGRAPHER: We canoed down the Daly River and just camped on the edge in a little tent, well there's no way known you'd do that these days.

JANE BARDON: As the crocs have repopulated, successive Governments have provided safe places to swim. Despite the changing face of Darwin, these long-timers still love the city and have no intention of leaving.

BAZ LEDWIDGE, FREELANCE PHOTOGRAPHER: It's just a lovely city. I still love it as much as I did when I got here in 1974.

DENNIS SMART, ACCOUNTANT: I think it's a wonderful place to live, except for the heat occasionally - like we've got at the moment.

SYLVIA MAJETIC, PINK HILL BOUTIQUE OWNER: They have to retain the Territorian feel. You have to fuse it with what people want, you know so it's that fusion of relaxed and, you know, but still luxurious. You know we want a bit of both as Territorians.